Moving Away From Bunker Broking Makes Absolutely No Sense for Us, Says LQM CEO

LQM CEO Morten Eggert Troen. Image Credit: LQM

After its acquisition in 2015 by Bunker Holding Group, bunker brokerage LQM Petroleum Services, Inc. (LQM) has appointed a new CEO and started to diversify into bunker trading. The developments may be seen as significant by some, but contrary to what occasional market chatter may suggest, LQM remains fundamentally the same company and it has no intention of moving away from its core broking roots, CEO Morten Eggert Troen has told Ship & Bunker.

Troen, who has been with the Bunker Holding Group for some 25 years, took over from former CEO Marisa Femenia effective March 1, 2017, with Femenia having held the position since Bunker Holding's acquisition of LQM in July 2015.

"We didn't have a pure brokering resource within the Group, so that was an add on to our business scope. To go in and totally change that, would make absolutely no sense to us because the majority of our (LQM) client's DNA does not match the profile of a trading outfit," said Troen.

Femenia, meanwhile, has taken up a new position outside of the industry, and Troen stressed that the change is part of long-standing plans for LQM.

"Marisa leaving was all pre-agreed and well scheduled. When you take over a company you would like to have the existing know how for as long as possible. So this timeline was all set up as part of the acquisition, and Marisa is still a member of the board, enabling us to draw from her resources when needed," he said.

"Today LQM is the same company it has always been and will continue to be. If people think we have totally remodeled everything, it's not the case. The brand values and our ethics are no different than before. The clients we have will be enjoying the same high level service and comfort by dealing with us."

And while the focus remains on its broking business, earlier this year LQM announced it would diversify into trading as part of a "natural evolution" for the company.

"We have taken trading as an add on in specific scenarios where it makes sense for every party involved. Sometimes trading is a better tool than broking, and sometimes it's the opposite. It really depends on what is best for our business partners in the given scenario, we have to add value in every aspect to all parties involved" Troen told Ship & Bunker.

"Moving forward we have a well structured plan of where we want to bring LQM in the next 5 years. We will definitely continue the brokering we are doing and we will continue to build the brand LQM in the spirit of the 'Van Geyzel family' in order to expand our business scope. There will be some trading, but our core business is broking and will remain broking. That's what we know, and that's what the DNA of the company and our people is and has been for the last 35 years."